Intel Struggles with Q3 Projections as Analysts Respond
Intel's Anticipated Quarterly Loss and Analyst Reactions
Intel Corporation INTC is gearing up to unveil its earnings results for the third quarter. Expectations among industry analysts are cautious, with predictions pointing towards a quarterly loss of around 2 cents per share. This marks a significant shift from the previous year, where the company posted a profit of 37 cents per share.
The projected revenue for this quarter aims for approximately $13.02 billion, reflecting the challenges that Intel faces in a competitive chip market. Industry watchers are closely monitoring these developments to gauge the company's future trajectory.
Expansion Amidst Challenges
Despite the turbulent waters, Intel has recently made headlines with its plans to expand its chip packaging and testing facility. This move, located in Chengdu, underscores Intel's commitment to maintaining a presence in the mainland market, particularly in light of a recent cybersecurity review from a Beijing-supported advisory group that could impact operations.
Market Response and Stock Performance
On the trading floor, Intel's shares have shown a dip, experiencing a 2.6% decline prior to the upcoming earnings announcement, settling at $22.30. This downward movement reflects broader market sentiments as investors react to potential earnings forecasts.
Analyst Ratings and Forecasts
Looking at the insights from top analysts, opinions on Intel's stock are quite varied. Here’s a snapshot of the latest ratings from some of the most accurate analysts:
- Rosenblatt's Hans Mosesmann maintains a Sell rating with a price target set at $17.
- Stifel's Ruben Roy has reiterated a Hold rating, adjusting the price target from $28 to $25.
- Goldman Sachs' Toshiya Hari retains a Sell rating, revising the price target from $22 to $21.
- Deutsche Bank's Ross Seymore keeps a Hold rating, lowering the price target from $27 to $25.
- Mizuho's Vijay Rakesh downgraded the stock from Outperform to Neutral, slashing the price target from $36 to $22.
What Investors Should Consider
As investors evaluate whether to buy into Intel (INTC) at this juncture, analyst opinions provide a mixed bag of insights. The diverse range of ratings highlights the underlying uncertainty in Intel's operational landscape and market performance. It would be prudent to weigh these factors before making investment decisions.
Frequently Asked Questions
What earnings per share loss is Intel expected to report?
Analysts expect Intel to report a loss of 2 cents per share for the third quarter.
What is Intel's projected revenue for the quarter?
Intel is projecting revenue of approximately $13.02 billion for the recent quarter.
How have Intel's shares performed recently?
Intel's shares fell by 2.6%, closing at $22.30 ahead of the earnings report.
What is the latest rating from Rosenblatt regarding Intel?
Rosenblatt's Hans Mosesmann maintains a Sell rating for Intel with a price target of $17.
Are analysts generally optimistic or pessimistic about Intel?
Analyst opinions are mixed, with some maintaining Hold ratings while others suggest Sell ratings and have lowered price targets.
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